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CILT Endorsed Strategic Sourcing: 7 Steps for Better Procurement Value AL Mawred Speciality Training

CILT Endorsed Strategic Sourcing: 7 Steps for Better Procurement Value

Why Attend

The procurement department is often viewed and managed as an administrative function, with sourcing activities executed at arms length. Strategic sourcing addresses this issue by providing a strategic approach towards optimizing and continuously improving sourcing activities using a proven 7-step methodology. In this course, we describe the steps entailed in the strategic sourcing process. We outline an approach for developing product categories via an analysis of organizational spend. We then discover six go-to-market strategies and describe how each can be matched with different product categories. Finally, we identify the appropriate Key Performance Indicators (KPIs) required for the continuous improvement of sourcing activities.

AL Mawred Speciality Training
Overview
Course Methodology

This course uses a variety of individual and team exercises, case studies, questionnaires and videos.

Course Objectives

By the end of the course, participants will be able to:

  • Analyze internal spend and supply market dynamics to provide a foundation for sourcing plans
  • Execute different sourcing strategies to optimize savings and ensure supply security
  • Identify appropriate suppliers for effective execution of sourcing plans 
  • Develop operational and strategic procurement processes for better value
  • Implement different purchasing methods to streamline procurement operations
  • Apply supplier integration techniques for sustainable supplier relations
  • Manage performance of procurement processes for continuous improvement
Target Audience

Purchasing and supply chain professionals at all levels of the organization as well as other company personnel who are involved in the purchasing process.

Target Competencies
  • Integrating vendors
  • Managing vendor performance
  • Applying sourcing strategies
  • Analyzing markets
  • Thinking strategically
  • Improving performance 
Course Outline
  • Step 1: Analyze spend categories
    • Recognizing strategic role of procurement
    • Strategic sourcing in supply chain context
    • 7 steps to strategic sourcing
    • Analyzing spend categories
      • Profiling spend categories
      • Analyzing financial impact
      • Assessing market risks
      • Consolidating category reports
    • Applying Total Cost of Ownership (TCO) 
  • Step 2: Develop sourcing strategies
    • Mapping spend categories using purchasing strategy matrix
      • Routine items
      • Bottleneck items
      • Leverage items
      • Strategic items
    • Managing balance of power in buyer-supplier relations
    • 6 key sourcing strategies
    • Applying sourcing strategies effectively
  • Step 3: Identify suppliers
    • Locating suppliers
    • Registering suppliers
    • Assessing suppliers
    • Sourcing locally
    • Describing vendor diversity programs
  • Step 4: Develop procurement processes
    • Scoping procurement processes
    • Describing strategic and operational processes
    • Developing procurement processes
    • Rules governing use of flowchart symbols 
    • Integrating ethical principles
  • Step 5: Implement procurement processes
    • Managing RFI, RFQ and RFP processes
    • Defining bid evaluation criteria
    • Implementing innovative purchasing methods
    • Using purchasing decision matrix
    • Employing purchasing templates
  • Step 6: Integrate suppliers
    • Prequalifying suppliers
    • Managing supplier certification programs
    • Partnering with suppliers
    • Managing Supplier Level Agreements (SLAs)
    • Typical SLA table of contents
  • Step 7: Manage procurement performance for continuous improvement
    • Managing a strategic sourcing plan
    • Measuring, analyzing and reporting on performance
    • Developing improvement initiatives
    • Institutionalizing supplier report cards
    • Bringing it all together
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Mawred Certificate courses by Al mawred Training & Consulting are designed for those willing to challenge themselves and go the extra distance. Participants who fully attend an Mawred Certificate course and successfully complete the test on the last day, will receive a Al mawred Professional Certificate (Mawred Certificate), in addition to the one they receive for full attendance. Mawred Certificate certificates are regionally recognized and can be quite valuable when applying for more senior roles within the organization or outside.

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